The Liechtenstein-based private bank said the reorganisation, effective from 1 January 2017, was driven by increasing market regulation.

VP Bank Group will merge its legal, compliance and tax division with its group risk division to form a new organisational unit that will be part of group executive management.

Monika Vicandi, who has been head of group legal, compliance and tax for the past five years, will lead the new general counsel and chief risk officer unit. She will also join group executive management as general manager.

Meanwhile, the areas of group investment, product and market management and VP fund solutions, which until now were part of the client business division, will be combined to form a new investment solutions unit.

The bank said the recruitment process to select the head of investment solutions was under way. In the interim, Christoph Mauchle, head of client business, will run the unit.